European Officials: “Oh please oh please oh please oh please ...”

Really, that’s what this Eurozone fiasco has morphed into – quiet desperation.

Officials -- whether those heading up Eurozone member countries, the IMF, the EU or the ECB -- are all holding their breath and hoping that something they do, some of their economy-restoring and debt-reducing strategies, actually sticks.

The reason they’re holding their breath: the success or failure of these bailout measures are almost entirely out of their control. What will make the determination?

Is gold saying this really isn’t a “no-brainer” or a “lay-up” trade??!!

If you’ve invested or traded for any period of time beyond a couple of years, it would be surprising if you found yourself using phrases such as, “this is a no brainer” or “this is a layup” to describe just how easy you think it is or will be to make money on a particular investment or trade. The reality is that anything can happen. The fact is just because you don’t want to define the scenario that “stuffs” your layup doesn’t mean it isn’t lingering out there.

A disconnect between news and price action.

Last week we noticed some spreads blew out even further, particularly thanks to the concern of Ireland and its banks.

You might also remember the Wall Street Journal article that rehashed the entire region’s banking problems and the rather large potential for the eurozone economies to experience another round of turmoil post stress tests. The euro’s knee-jerk reaction was not good; but it needed very little time to shake off the dirt and begin a strong move higher.

Follow the Leader: Australian dollar the risk driver here?

There is no mistaking the role the Australian dollar plays in currency speculation. It is easily THE risk currency. It’s got growth (particularly the tight connection to China and the rest of Asia) and interest rates on its side. So when speculators are looking to capitalize on risk appetite, or when investors are looking for an extra yield boost, they look towards the Australian dollar.

We were recently asked by a member of CCPRO why we weren’t up to snuff on our Australian dollar recommendations. Good question.